Corporate foreign exchange news

Published by Zeb BhamHigh-yield currencies were clinging to gains during foreign exchange trading this morning (March 5th) as investors awaited the publication of the latest US payrolls data.Reuters reports that the euro was under further pressure this morning in a generally cautious market, with Greece's debt troubles continuing to weigh, while Moody's announcement that it is to cut Deutsche Bank's debt rating also encouraged bearish forex hedging.Jonathan Cavenagh, currency strategist at Westpac, said that the market is expecting the payrolls data to show job losses of around 65,000, although this is expected to have been influenced in large part by adverse weather conditions."The market is bearish on the numbers, so any upside surprise could actually lift the US dollar," he said, adding that on balance, the dollar is likely to outperform the euro in today's session.The euro was also pressured yesterday by the announcement that the pace of growth in the eurozone and the 27-member EU community slowed in the fourth quarter of 2009, with Eurostat data showing growth of 0.1 per cent.For more information on foreign exchange treasury services and risk management, visit our Corporate FX site